Brothers in their 20s make their mark in luxury watch industry
Brothers in their 20s make their mark in luxury watch industry
From watching their father's love for collecting luxury watches since a young age, brothers Jarod and Joses Ng, co-founders of local luxury watch retailer Watch Capital, developed a passion for high-end timepieces and the entrepreneurial mindset to build a successful business out of it.
And they achieved it while earning law degrees at Durham University in England. Mr Jarod Ng, 24, graduated in June, while Mr Joses Ng, 22, finishes his final year next month .
Mr Jarod Ng told The New Paper: "I have always wanted to be an entrepreneur and now that I have completed my education, I can focus full-time on taking Watch Capital to its fullest potential."
Due to Covid-19 travel restrictions, Mr Joses Ng could study online and commit to the company at the same time.
Believing that luxury watches are commodities worth investing in, the Ngs started trading and selling watches on Carousell in 2018.
They worked their way up to open a showroom in February this year, selling brands such as Rolex, Audemars Piguet and Patek Philippe, which range from $3,000 to $149,000.
Mr Joses Ng said: "The only issue in this trade is having a large capital, which thankfully Jarod and I had saved up $50,000 for. Our father, who is a private investor, invested a huge sum in our business as well."
Mr Jarod Ng added: "While Carousell helped in kick-starting our business, the revenue was not enough to sustain it and increase stock.
"There were also many stolen watches being traded, which compromised the watches' authenticity.
"There were also clients who wouldn't show for meetups, which then motivated us to open a showroom - to boost our credibility."
Although launching the physical store at 111 Somerset in Orchard Road was a risky move amid the pandemic, the brothers felt their strong clientele base would do the trick.
Online sales also made up for the loss in footfall during phase two (heightened alert).
From earning a monthly average revenue of $80,000 on Carousell, the Ngs have grown their business exponentially, reaping a six-month revenue of $15 million, with close to 70 watches sold each month.
Mr Joses Ng said: "During Covid-19, more younger clients are investing in luxury watches as it is a fixed asset they can liquidate when in need of cash. And the market rates usually increase as well, which can even provide them with profits."
The duo admit they are often "undermined" by the competition due to their age, but they have set Watch Capital apart from other luxury watch retailers by maintaining a non-judgmental, non-elitist approach, regardless of the client's socioeconomic status, and providing top-notch aftercare services.
They aim to open two more showrooms next year and a head office to run operations more smoothly.
"We hope to continue to instil the idea that luxury watches are important artistic timepieces that people of all ages and both men and women can learn to enjoy," added Mr Joses Ng.
Secrets of the trade
- Having a digital marketing presence is crucial, especially during Covid-19, to increase footfall for the shop. Even if it seems like a large investment, such as a five-figure amount, it is worth it in the long run.
- Customer service is a priority, especially in a business like luxury watches that is focused on the specific taste and preference of the client.
- Some customers might have a preference when it comes to the brand or style, ranging from mechanical watches to chronograph watches.
- Luxury watch retailers should always assess the market before investing. Since it is a liquid asset, a good time to invest, for instance, would be during the pandemic.
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